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Digital Nomad Lifestyle a Field Study in Bali

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Digital Nomad Lifestyle a Field Study in Bali DEGREE PROJECT IN INDUSTRIAL MANAGEMENT, SECOND CYCLE, 30 CREDITS STOCKHOLM, SWEDEN 2017 Digital Nomad Lifestyle A field study in Bali JULIA HAKING KTH ROYAL INSTITUTE OF TECHNOLOGY SCHOOL OF INDUSTRIAL ENGINEERING AND MANAGEMENT www.kth.se Digital Nomad Lifestyle Julia Haking Digital Nomad Lifestyle A field study in Bali Julia Haking Master of Science Thesis INDEK 2017:163 KTH Industrial Engineering and Management Industrial Management SE-100 44 STOCKHOLM 1 Digital Nomad Lifestyle Julia Haking Master of Science Thesis INDEK 2017:163 Digital Nomad Lifestyle A field study in Bali Julia Haking Approved Examiner Supervisor 2017-11-22 Anders Broström Kristina Nyström Abstract The digital age has unleashed limitless opportunities and transformed how we work, play and live. As a result, more people embrace the digital nomad lifestyle to fulfill both personal and professional goals. This research assesses the advantages and disadvantages that are associated with this lifestyle. In addition, I examine the digital nomad characteristics in Bali and how the digital nomad community in Bali supports professional development. Data were collected during a two-month field study in Bali, which is one of the world’s most popular digital nomad hubs. The findings suggest that digital nomads are predominantly millennials from advanced economies who have different academic backgrounds. Freedom is the primary advantage, while overall job satisfaction and productivity dramatically differ. Overall, members of Bali’s digital nomad community feel supported in their professional development. “Spend your days on a nine to five You waste your time on a central line What do you love? Work two jobs tryin' stay alive You spend your money on a Friday night Tell me, what do you love?” – Jacob Banks Keywords Digital nomad, knowledge society, knowledge spillover, entrepreneurial mindset, virtual knowledge work, gig economy, freedom, digital nomad community, Bali 2 Digital Nomad Lifestyle Julia Haking Examensarbete INDEK 2017:163 Digital Nomad Lifestyle A field study in Bali Julia Haking Godkänt Examinator Handledare 2017-11-22 Anders Broström Kristina Nyström Sammanfattning Digitaliseringen har skapat oändligt många möjligheter och förändrat hur vi arbetar, umgås och lever i dagens samhälle. Det har resulterat i att allt fler provar på en livsstil som digital nomad för att uppnå både personliga och professionella mål. Den här uppsatsen analyserar fördelar och nackdelar som är förknippade med en livsstil som digital nomad. Dessutom undersöker jag vad som karaktäriserar digitala nomader på Bali och hur gemenskapen bland digitala nomader på Bali kan gynna professionell utveckling. Insamling av data skedde under en två månaders fältstudie på Bali, vilket är en av världens mest populära digital nomad hubbar. Resultatet visar att digitala nomader är främst millenials från i-länder med olika akademisk bakgrund. Frihet är den främsta fördelen, medan generell arbetstillfredsställelse och produktivitet varierar dramatiskt. Medlemmar av Balis digitala nomadgemenskap känner att de utvecklas professionellt. “Spend your days on a nine to five You waste your time on a central line What do you love? Work two jobs tryin' stay alive You spend your money on a Friday night Tell me, what do you love?” – Jacob Banks Nyckelord Digital nomad, knowledge society, knowledge spillover, entrepreneurial mindset, virtual knowledge work, gig economy, freedom, digital nomad community, Bali 3 Digital Nomad Lifestyle Julia Haking Acknowledgments I begin by acknowledging Kristina Nyström, my supervisor and Associate Professor at KTH, for guiding my literary path. I thank Aaron Mashano for mentoring and believing in me. Thank you for your entrepreneurial guidance and for introducing me to the digital nomad community. I thank all digital nomads who participated in this survey for sharing invaluable insight. I thank my dear friend Emelie Källner for your support and faith in this research. I appreciate my focus group, Cam Woodsum, Wahyu Taufiq and Martin Caetano, for your insight. I thank Sammy Jackets, Birru Hayyu and Eugen Cola for believing in my idea. I thank Budy Kusuma and Attar Tan Malaka for giving me a deeper understanding of Indonesian society and my inspiring friends, Felix Bracht and Sorana Sîrb, for your help. Finally, with endless gratitude, I thank my lovely family for their support and love. 4 Digital Nomad Lifestyle Julia Haking Table of Contents 1. Introduction ......................................................................................................................4 1.1 Background ................................................................................................................. 4 1.2 Research questions....................................................................................................... 5 1.3 Sustainability ............................................................................................................... 6 1.4 Thesis Outline .............................................................................................................. 7 2. Literature Review .............................................................................................................8 2.1 From the first to the fourth Industrial Revolution ......................................................... 8 2.2 Transitioning into a knowledge society .......................................................................10 2.3 The key role of an entrepreneurial mindset ..................................................................12 2.4 The impact of knowledge work on career flexibility....................................................13 2.5 From a 9-5 workday to on-demand work.....................................................................14 2.6 Motivation behind the digital nomad lifestyle .............................................................16 2.7 Innovation hubs ..........................................................................................................19 2.8 Bali as a digital nomad hub .........................................................................................21 2.9 Identifying a digital nomad .........................................................................................23 3. Methodology ................................................................................................................... 24 3.1 An exploratory approach .............................................................................................24 3.2 Procedure, respondents and coding .............................................................................24 3.3 Objectivity, validity and reliability ..............................................................................26 4. Empirical data ................................................................................................................ 27 4.1 Demographics .............................................................................................................27 4.2 Digital nomad lifestyle advantages and disadvantages .................................................31 4.3 Professional development ...........................................................................................33 5. Conclusion....................................................................................................................... 35 5.1 Future research ...........................................................................................................36 6. References ....................................................................................................................... 37 1 Digital Nomad Lifestyle Julia Haking Figures Figure 1. Sustainability (Circular Ecology, 2017) .................................................................. 6 Figure 2. Four industrial revolutions ...................................................................................... 9 Figure 3. Digital nomad holism ............................................................................................17 Figure 4. Digital nomad nationalities ....................................................................................27 Figure 5. Level of education .................................................................................................28 Figure 6. Professions ............................................................................................................28 Figure 7. Digital nomad incomes ..........................................................................................29 Figure 8. Working hours per week ........................................................................................30 Figure 9. The top 10 areas of expertise .................................................................................30 Figure 10. Expected future time as a digital nomad ...............................................................34 2 Digital Nomad Lifestyle Julia Haking Tables Table 1. Strategies and skills for thriving in the knowledge age ............................................12 Table 2. Top 10 factors for evaluating flexible job prospects ................................................14 Table 3. Digital nomad lifestyle barriers ...............................................................................18 Table 4. Digital nomad lifestyle advantages and disadvantages .............................................31 3 Digital Nomad Lifestyle Julia Haking 1. Introduction This chapter introduces
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